Fision (FSSN) S-1 31 Oct 16 IPO registration Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2016
Document And Entity Information
Entity Registrant Name	FISION Corp
Entity Central Index Key	1,487,931
Document Type	S1
Document Period End Date	Jun. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Document Fiscal Year Focus	2,016

CONOLIDATED BALANCE SHEETS

CONOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Current Assets
Cash and cash equivalents	$ 9,380	$ 8,495	$ 2,924
Accounts receivable, net	119,256	32,134	55,929
Prepaid Expenses	9,404	15,318
Total Current Assets	138,040	55,947	58,853
Property and equipment, net	9,321	7,754	21,630
Other Assets:
Deposits	6,456	6,456	6,456
Total Assets	153,817	70,157	86,939
Current Liabilities:
Accounts payable, accrued expenses	961,303	185,172	1,282,642
Note payable and accrued interest - related party	91,399	445,224	702,700
Notes payable	961,520	986,082	1,707,420
Total Current Liabilities	1,767,709	1,616,478	3,692,762
Stockholders' Equity:
Preferred Stock, $0.0001 Par value, 20,000,000 shares authorized, No shares issued and outstanding
Common Stock, $0.0001 Par value, 500,000,000 shares authorized 31,425,021 and 27,797,950 shares issued and outstanding, respectively	3,143	2,780	1,967
Additional paid in capital	10,959,599	9,071,663	4,753,742
Accumulated deficit	(12,576,634)	(10,620,764)	(8,361,532)
Total stockholders' Equity	(1,613,892)	(1,546,321)	(3,605,823)
Total Liabilities and Stockholders' Equity	$ 153,817	$ 70,157	$ 86,939

CONOLIDATED BALANCE SHEETS (Par

CONOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Stockholders' deficit:
Preferred stock, shares authorized	20,000,000	20,000,000	20,000,000
Preferred stock, par value	$ 0.0001	$ 0.0001	$ 0.0001
Preferred stock, shares issued	0	0	0
Preferred stock, shares outstanding	0	0	0
Common stock, shares authorized	500,000,000	500,000,000	500,000,000
Common stock, par value	$ 0.0001	$ 0.0001	$ 0.0001
Common stock, shares issued	31,425,021	27,797,950	27,797,950
Common stock, shares outstanding	31,425,021	27,797,950	27,797,950

CONOLIDATED STATEMENTS OF OPERA

CONOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014
Conolidated Statements Of Operations
REVENUE	$ 111,454	$ 183,237	$ 226,139	$ 318,375	$ 604,799	$ 699,110
COST OF SALES	33,933	29,246	64,596	68,554	136,856	138,664
GROSS MARGIN	77,521	153,990	161,542	249,821	467,943	560,446
OPERATING EXPENSES
Selling and Marketing	209,917	171,010	766,323	314,864	620,288	1,562,348
Development and Support	106,452	54,972	378,328	109,096	232,476	437,787
General and Administrative	426,315	571,180	913,369	709,225	1,569,020	1,062,762
TOTAL OPERATING EXPENSES	742,685	797,161	2,058,019	1,133,185	2,421,785	3,062,897
OPERATING LOSS	(665,164)	(643,171)	(1,896,477)	(883,364)	(1,953,842)	(2,502,451)
Other expense:
INTEREST EXPENSE	35,648	107,321	67,342	162,703	(305,390)	(281,593)
Total other expense	(450)	0	(450)	0	(305,390)	(281,593)
Net loss before income taxes					(2,259,232)	(2,784,044)
Provision for income taxes
NET LOSS	$ (700,362)	$ (750,492)	$ (1,963,369)	$ (1,046,067)	$ (2,259,232)	$ (2,784,044)
Net loss per common share - basic and diluted	$ (0.023)	$ (0.038)	$ (0.066)	$ (0.049)	$ (0.10)	$ (0.18)
Weighted average common shares outstanding: Basic and diluted	31,103,771	19,662,809	29,611,485	21,145,992	22,655,221	15,151,207

STATEMENTS OF STOCKHOLDERS' EQU

STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)	Preferred Stock	Common Stock	Additional Paid-In Capital	Retained Earnings (Deficit)	Total
Beginning Balance, Amount at Dec. 31, 2013		$ 1,535	$ 2,999,782	$ (5,577,488)	$ (2,576,171)
Beginning Balance, Shares at Dec. 31, 2013		15,350,309
Common stock issued for cash, Amount		$ 38	99,962		100,000
Common stock issued for cash, Shares		377,359
Stock issued for services, Amount		$ 394	1,042,418		1,042,812
Stock issued for services, Shares		3,935,141
Warrants granted for services			611,580		611,580
Net Loss				(2,784,044)	(2,784,044)
Ending Balance, Amount at Dec. 31, 2014		$ 1,967	4,753,742	(8,361,532)	(3,605,823)
Ending Balance, Shares at Dec. 31, 2014		19,662,809
Common stock issued for cash, Amount		$ 193	729,807		730,000
Common stock issued for cash, Shares		1,930,188
Stock issued for services, Amount		$ 171	616,717		616,888
Stock issued for services, Shares		1,714,431
Warrants granted for services			331,603		331,603
Conversion of notes payable and accrued interest, Amount		$ 419	2,639,824		2,640,243
Conversion of notes payable and accrued interest, Shares		4,190,522
Acquisition of the net assets and liabilities DE Acquistion, Amount		$ 30	(30)
Acquisition of the net assets and liabilities DE Acquistion, Shares		300,000
Net Loss				(2,259,232)	(2,259,232)
Ending Balance, Amount at Dec. 31, 2015		$ 2,780	$ 9,071,663	$ (10,620,764)	(1,546,321)
Ending Balance, Shares at Dec. 31, 2015		27,797,950
Net Loss					(1,963,369)
Ending Balance, Amount at Jun. 30, 2016					$ (1,613,892)

CONOLIDATED STATEMENTS OF CASH

CONOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	6 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income (Loss) for the Period	$ (1,963,369)	$ (1,046,067)	$ (2,259,232)	$ (2,784,044)
Adjustments to reconcile net loss to net cash provided by operating activities:
Common stock issued for services	1,107,850	633,216	635,605	1,042,812
Depreciation	2,753	6,566	18,592	23,671
Stock warrants issued for services	30,000	62,040	948,419	611,850
(Increase) decrease in:
Accounts receivables	(87,122)	(14,020)	33,795	(19,250)
Other receivable
Prepaid expenses	5,914	(91,894)	(15,318)
Deposits
Increase (decrease) in:
Accounts payable & accrued expenses	321,396	15,277	(267,758)	361,749
Net Cash Used in Operating Activities	(582,578)	(434,882)	(911,134)	(763,212)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment	(4,319)	(2,499)	(4,716)
Net Cash Used In Investing Activities	(4,319)	(2,499)	(4,716)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayments on note payable	(108,997)	(132,866)	(112,000)
Proceeds from note payable	25,000	50,000		430,921
Proceeds from related party notes		194,200	295,112	222,147
Proceeds from (Repayments on) line of credit	1,780	(1,123)	3,069
Proceeds from issuance of common stock	670,000	363,993	730,000	100,000
Net Cash Provided by Financing Activities	587,782	474,204	921,418	753,068
Net (Decrease) Increase in Cash	885	36,823	5,568	(10,144)
Cash at Beginning of Period	8,495	2,924	2,924	13,068
Cash at End of Period	9,380	39,747	8,495	2,924
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid during period: Interest	3,477	37,219	42,881	136
Cash paid during period: Franchise and Income Taxes	0	0
Noncash operating and financing activities:
Common Stock Issued for Services	1,107,850	363,923
Common Stock Warrants Issued for Services	$ 30,000	$ 62,040
Conversion of debt and accrued interest to common stock			$ 2,640,243	$ 1,159,557

ORGANIZATION AND SIGNIFICANT AC

ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 1 - ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES	Fision Corporation, (formerly DE 6 Acquisition, Inc.), a Delaware corporation (the "Company") was incorporated on February 24, 2010, and was inactive until December 2015 when it merged with Fision Holdings, Inc., a Minnesota operating business based in Minneapolis, Minnesota. As a result of the merger, Fision Holdings, Inc. became a wholly-owned subsidiary of the Company. Fision Holdings, Inc. was incorporated under the laws of the State of Minnesota in 2010, and has developed and successfully commercialized a unique cloud-based software platform which automates and integrates digital marketing assets and marketing communications to "bridge the gap" between marketing and sales of any enterprise. The Company generates its revenues primarily from software licensing contracts typically having terms of from one to three years and requiring monthly subscription fees based on the customer's number of users and the locations where used. The Company's business model provides a consistent and recurring revenue stream resulting in a high percentage of recurring revenues. The terms "Fision," "we," "us," and "our," refer to FISION Corporation, a Delaware corporation and its wholly-owned operating subsidiary Fision Holdings, Inc., a Minnesota corporation. Basis of Presentation The accompanying consolidated financial statements are unaudited. These unaudited interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("GAAP") and pursuant to the rules and regulations of the SEC. Certain information and note disclosures which are included in annual financial statements have been omitted pursuant to these rules and regulations. We believe the disclosures made in these interim unaudited financial statements are adequate to make the information not misleading. Although these interim financial statements as and for the three-month and six-month periods ended June 30, 2016 and 2015 are unaudited, in the opinion of our management, such statements include all adjustments necessary to present fairly our financial position, results of operations and cash flows for the periods presented. The results for these interim periods are not necessarily indicative of the results to be expected for the year ended December 31, 2016 or for any future period. These unaudited interim financial statements should be read and considered in conjunction with our audited financial statements and the notes thereto for the year ended December 31, 2015, included in our annual report on Form10-K filed with the SEC on April 15, 2016. Principles of Consolidation These consolidated interim financial statements include the accounts of Fision Corporation, a Delaware corporation, and its wholly-owned Minnesota subsidiary, and all material intercompany transactions and balances have been eliminated in consolidation. Use of Estimates GAAP accounting principles require our management to make estimates and assumptions in the preparation of these interim financial statements that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates and assumptions. The most significant areas requiring management judgment and which are susceptible to possible later change include our revenue recognition, cost of revenue, allowance for doubtful accounts, valuations of property and equipment, stock-based compensation, fair value of financial instruments, derivative securities, goodwill and other intangible assets, research and development, impairment of long-lived assets, and income taxes. Certain accounting policies for these areas are discussed following these Notes in the Item 2 section of this quarterly report entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations." Cash and Cash Equivalents We consider all short-term highly liquid investments with a remaining maturity at the date of purchase of three months or less to be cash equivalents. At June 30, 2016 we had no cash equivalents. Concentration of Credit Risk and Customers Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and accounts receivable. During the quarter ended June 30, 2016, we may have had cash deposits in our bank that exceeded FDIC insurance limits. We maintain any bank accounts at high quality institutions and in demand accounts to mitigate this risk. Regarding our customers, we perform ongoing credit evaluations of them, and generally we do not require collateral from them to do business with us. For the six months ended June 30, 2016, only two customers exceeded 10% of our revenues, with revenue from the largest one, a new customer, being primarily based on one-time implementation and set-up fees. We do not believe that currently we face any material customer concentration risks, although a significant reduction for any reason in the use of our software solutions by one or more of our major customers could harm our business materially. Loss Per Common Share Basic net loss per common share is computed by dividing the net loss by the weighted average number of common shares outstanding for the period. Diluted net loss per common share is computed by dividing the net loss by the weighted average number of common shares outstanding and potential common shares under the treasury stock method. Diluted net loss per common share is not shown, since the assumed exercise of stock options and warrants using the treasury stock method are anti-dilutive.	Fision Holdings, Inc. (the "Company") was incorporated under the laws of the state of Minnesota and is in the business of unique automated marketing software which is "cloud" based. The Company has developed and successfully commercialized a unique cloud-based software platform which automates and integrates digital marketing assets and marketing communications, and accordingly "bridges the gap" between marketing and sales of an enterprise. The Company generates its revenues primarily from software licensing contracts typically having terms of one to three years and requiring monthly subscription fees based on the customer's number of users and locations where used. The Company's business model provides a predictable and recurring revenue stream for its licensed software allowing for recurring revenue of 83%.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2015
Notes to Financial Statements
Note 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Use of estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Accordingly, actual results could differ from those estimates. Such estimates include management's assessments of the carrying value of certain assets, useful lives of assets, and related depreciation and amortization methods applied. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and accounts receivable. During the year ended December 31, 2015, the Company may have had cash deposits that exceeded Federal Deposit Insurance Corporation ("FDIC") insurance limits. The Company maintains its cash balances at high quality financial institutions to mitigate this risk. The Company performs ongoing credit evaluations of its customers and generally does not require collateral. Cash equivalents The Company considers all highly liquid investments with an original maturity of six months or less when purchased to be cash equivalents. At December 31, 2015, the Company had no cash equivalents. Fair value of financial instruments The Company adopted the provisions of FASB ASC 820 (the "Fair Value Topic") which defines fair value, establishes a framework for measuring fair value under GAAP, and expands disclosures about fair value measurements. The Fair Value Topic defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. It requires that valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. It also establishes a fair value hierarchy, which prioritizes the valuation inputs into six broad levels. The following fair value hierarchy is used to classify assets and liabilities based on the observable inputs and unobservable inputs used in order to value the assets and liabilities: A) Market approach—Uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. Prices may be indicated by pricing guides, sale transactions, market trades, or other sources; B) Cost approach—Based on the amount that currently would be required to replace the service capacity of an asset (replacement cost); and C) Income approach—Uses valuation techniques to convert future amounts to a single present amount based on current market expectations about the future amounts (includes present value techniques, and option-pricing models). Net present value is an income approach where a stream of expected cash flows is discounted at an appropriate market interest rate. Level 1: Quoted market prices available in active markets for identical assets or liabilities as of the reporting date. An active market for an asset or liability is a market in which transactions for the asset or liability occur with significant frequency and volume to provide pricing information on an ongoing basis. Level 2: Observable inputs other than Level 1 inputs. Example of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active. Level 3: Unobservable inputs based on the Company's assessment of the assumptions that are market participants would use in pricing the asset or liability. The carrying amount of the Company's financial assets and liabilities, such as cash, accounts receivable, accounts payable, accrued expenses, and notes payable approximate their fair value because of the short maturity of those instruments. The Company had no assets and/or liabilities measured at fair value on a recurring basis at December 31, 2015. Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable related to the products and services sold are recorded at the time revenue is recognized, and are presented on the balance sheet net of allowance for doubtful accounts. The ultimate collection of the receivable may not be known for several months after services have been provided and billed. The Company has established an allowance for doubtful accounts based upon factors pertaining to the credit risk of specific customers, analyses of current and historical cash collections, and the aging of receivables. Delinquent accounts are written-off when the likelihood for collection is remote and/or when the Company believes collection efforts have been fully exhausted and the Company does not intend to devote any additional efforts in an attempt to collect the receivable. The Company adjusts their allowance for doubtful accounts balance on a quarterly basis. Property and Equipment Property and equipment are recorded at cost. Expenditures for major additions and betterments are capitalized. Maintenance and repairs are charged to operations as incurred. Depreciation is computed by the straight-line method over the assets estimated useful life of six (3) years for equipment, (5) years for automobile, and (7) years for furniture and fixtures. Upon sale or retirement of property and equipment, the related cost and accumulated depreciation are removed from the accounts and any gain or loss is reflected in statements of operations. Impairment of long-lived assets The Company follows paragraph 360-10-05-4 of the FASB Accounting Standards Codification for its long-lived assets. The Company's long-lived assets are required to be reviewed for impairment annually, or whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The Company assesses the recoverability of its long-lived assets by comparing the projected undiscounted net cash flows associated with the related long-lived asset or group of long-lived assets over their remaining estimated useful lives against their respective carrying amounts. Impairment, if any, is based on the excess of the carrying amount over the fair value of those assets. Fair value is generally determined using the asset's expected future discounted cash flows or market value, if readily determinable. If long-lived assets are determined to be recoverable, but the newly determined remaining estimated useful lives are shorter than originally estimated, the net book values of the long-lived assets are depreciated over the newly determined remaining estimated useful lives. The Company determined that there were no impairments of long-lived assets as of December 31, 2015. Revenue recognition The Company follows paragraph 605-10-S99-1 of the FASB Accounting Standards Codification for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. Revenue is recognized in the period the services are provided over the contract period, normally one (1) to three (3) years. The Company invoices one-time startup costs, such as consolidating and uploading digital assets upon completion of those services. Monthly services, such as internet access to software as a service (SaaS), hosting and weekly backups are invoices monthly. Income taxes The Company follows Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the fiscal year in which the temporary differences are expected to be recovered or settled. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company adopted section 740-10-25 of the FASB Accounting Standards Codification ("Section 740-10-25") with regards to uncertainty in income taxes. Section 740-10-25 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement. Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, accounting in interim periods and requires increased disclosures. The Company had no material adjustments to its assets and/or liabilities for unrecognized income tax benefits according to the provisions of Section 740-10-25. Stock-Based Compensation In December 2004, the FASB issued FASB Accounting Standards Codification No. 718, Compensation – Stock Compensation Equity instruments ("instruments") issued to other than employees are recorded on the basis of the fair value of the instruments, as required by FASB Accounting Standards Codification No. 718. FASB Accounting Standards Codification No. 505, Equity Based Payments to Non-Employees Net income (loss) per share The Company computes basic and diluted earnings per share amounts pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic earnings per share is computed by dividing net income (loss) available to common shareholders, by the weighted average number of shares of common stock outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted earnings per share is computed by dividing net income (loss) available to common shareholders by the diluted weighted average number of shares of common stock during the period. The diluted weighted average number of common shares outstanding is the basic weighted number of shares adjusted as of the first day of the year for any potentially diluted debt or equity. For the years ended December 31, 2014 and 2015, there were 5,142,729 and 1,922,853 respectively, potentially dilutive securities not included in the calculation of weighted-average common shares outstanding since they would be anti-dilutive. Research and Development The company expenses all our research and development operations and activities as they occur. During the fiscal year ended December 31, 2015 we incurred total expenses of $211,495 for research and development, including $179,135 for internal development by our technology personnel and $32,360 for outsourced work by independent software developers. In comparison, during the fiscal year ended December 31, 2014 we incurred total expenses of $198,913 for research and development, including $183,750 for internal development and $15,163 for outsourced development. Development expenses were similar in 2015 compared to 2014 as we completed development of our Fision software platform during 2014. Recently issued accounting pronouncements Company management does not believe that any other recently issued, but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying financial statements.

GOING CONCERN

GOING CONCERN	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 2 - GOING CONCERN	These financial statements have been prepared in accordance with generally accepted accounting principles applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The Company's ability to continue as a going concern is contingent upon its future ability to achieve and maintain profitable operations, and to raise substantial additional capital as required until it attains profitable operations. At June 30, 2016 the Company had a working capital deficiency of approximately $1.6 million and an accumulated deficit of approximately $12.6 million. These conditions raise substantial doubt about the Company's ability to continue as a going concern. These unaudited interim financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts, or amounts and classification of liabilities that might result from this uncertainty. We are in the process of raising funds, increasing our marketing activities, and otherwise addressing our ability to continue as a going concern, and our management believes that our actions being taken to raise needed capital and implement our business plan will enable us to continue as a going concern.	These financial statements have been prepared in accordance with generally accepted accounting principles applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The Company's ability to continue as a going concern is contingent upon its ability to achieve and maintain profitable operations, and the Company's ability to raise additional capital as required. At December 31, 2015 the Company had a working capital deficiency of approximately $10.8 million and an accumulated deficit of approximately $10.6 million. These conditions raise substantial doubt about the Company's ability to continue as a going concern. These financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts, or amounts and classification of liabilities that might result from this uncertainty. Management intends to raise additional funds thru a private placement or thru the public process. Management believes that the actions presently being taken to further implement its business plan will enable the Company to continue as a going concern. While the Company believes in the viability to raise additional funds, there can be no assurances to that effect. The ability of the Company to continue as a going concern is dependent upon the Company's ability to further implement its business plan and generate funds.

ACCOUNTS RECEIVABLE

ACCOUNTS RECEIVABLE	12 Months Ended
	Dec. 31, 2015
Notes to Financial Statements
Note 4 - ACCOUNTS RECEIVABLE	Accounts receivable at December 31, 2014 and December 31, 2015 consisted of the following: December 31, 2014 December 31, 2015 Accounts receivable $ 65,929 $ 32,134 Less: Allowance for doubtful accounts (10,000 ) 0 $ 55,929 $ 32,134

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Dec. 31, 2015
Notes to Financial Statements
Note 5 - PROPERTY AND EQUIPMENT	Fixed assets, stated at cost, less accumulated depreciation, consists of the following at December 31, 2014 and December 31, 2015: December 31, 2014 December 31, 2015 Equipment $ 89,410 $ 92,701 Furniture & Fixtures 28,946 28,946 Less: Accumulated Depreciation (96,726 ) (115,318 ) Net Fixed Assets $ 21,630 $ 7,754 Depreciation expense Depreciation expense for the years ended December 31, 2014 and 2015 was $23,671 and $23,655, respectively.

NOTES PAYABLE

NOTES PAYABLE	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 3 - NOTES PAYABLE	At June 30, 2016 the Company was indebted under various Notes Payable in the total amount of $961,520 including accrued interest, the majority amount of which was matured and past due as of June 30, 2016. Following is a summary of our outstanding Notes Payable indebtedness as of June 30, 2016: Description of Notes Payable Amount Owed (1) Decathlon Alpha LP, Senior Secured Note, due 12/31/16, interest at 15% $ 157,021 Forte Ventures LP, Secured Note, past due, interest at 15-21% 386,761 Hawkins Ventures Inc., Secured Note, past due, interest at 18% 94,479 Nottingham Securities Inc., due 9/30/16, interest at 10% 128,173 Finquest Capital Inc., due 9/30/16/, interest at 10% 25,010 Notes payable to two principal officers, due on demand, interest at 6% 91,399 Note payable to individual, past due, interest at 10% 50,000 Note payable to individual, past due, interest at 12% 27,243 Note payable to individual, past due, interest at 6% 1,434 Total $ 961,520 ____________ (1) Includes accrued interest.	At December 31, 2015, the Company has total of 11 notes agreements totaling $986,082 with interest rates up to 21%. At December 31, 2014, $1,652,420 of these notes were in default. These notes consist of the following: · The Company has entered into one (1) convertible notes payable totaling $50,000 and bear interest at 10%. The Company has an option to convert this note at $0.50 per share. This note is in default at December 31, 2015. · The Company has entered into three (3) convertible notes payable totaling $321,458 and bear interest at 15% to 21%. These notes include warrants to purchase the Company's common stock at $0.265 per share for five (5) years. The maximum number of warrants issued under the agreements total 240,000. These notes are in default at December 31, 2015. · The Company has entered into one (1) secured note payable totaling $150,000 with interest at 14% with a maturity date of June 30, 2016. · The Company has entered into seven (7) note agreements with interest rates from 6% to 12% totaling $464,624. Of these notes $78,249 were in default at December 31, 2015.

COMMITMENTS & CONTINGENCIES

COMMITMENTS & CONTINGENCIES	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 4 - COMMITMENTS & CONTINGENCIES	Operating Lease We lease 4,427 square feet of office, development and operational spaces in Minneapolis, Minnesota on a month-to-month basis for $7,142 per month including utilities, maintenance and cleaning. Rent paid for the six-month periods ended June 30, 2016 and 2015 were respectively $42,852 and $42,851. Employment Agreements We have three written employment agreements in effect with our three principle executive officers, including provisions for base salary, discretionary bonuses, severance provisions and other employee benefits. The salary terms of these agreements include aggregate monthly salaries of $49,167 per month. Litigation In May 2016 we settled a material legal action involving a former employee who alleged a breach of his former employment agreement as well as other allegations of damages, in total in excess of $200,000. We settled this litigation for $145,000 in cash plus issuance to the plaintiff of 135,000 shares of our common stock. We have issued the 135,000 shares and paid $75,000 of this settlement, with the balance of $70,000 payable $20,000 in August 2016, $20,000 in September 2016, $20,000 in October 2016, and $10,000 in November 2016. Upon full payment by us of the $145,000, the plaintiff will release us from any and all claims or obligations to him. From time to time, we become subject to legal proceedings, claims and litigation arising in the ordinary course of business. We currently are not a party to any material legal proceedings, nor are we aware of any other pending or threatened litigation that would have a material effect on our business, operating results or financial condition should such litigation be resolved unfavorably against our Company.	Lease The Company currently occupies 4,427 square feet of office space in downtown Minneapolis Minnesota. Terms are on a month to month basis for $7,142 per month including utilities maintenance and cleaning. The Company. Total rent expense under this agreement was $65,623 and $78,565 for the years ended December 31, 2014 and 2015, respectively. From time to time, we become subject to legal proceedings, claims and litigation arising in the ordinary course of business. Except for the following legal action involving a former employee, we currently are not a party to any material legal proceedings, nor are we aware of any other pending or threatened litigation that would have a material adverse effect on our business, operating results or financial condition should such litigation be resolved unfavorably against us. We are the defendant in a lawsuit brought by a former employee against us and our two principal executive officers in the United States District Court of Minnesota alleging (i) breach of an employment contract by us relating to employment from late 2012 through March 2014, (ii) various violations by us of certain federal and state employment laws, and (iii) our default on a $50,000 loan to us which was alleged to be assigned from a third party to this former employee. Our former employee alleges he is entitled to recover legal and equitable damages and relief in the amount of at least $200,000 along with certain statutory penalties and attorney's fees and costs. We believe and consider this lawsuit is unwarranted and without merit except for approximately $30,000 which is owed to our former employee pursuant to a written termination of his employment accepted and agreed to by him in 2014. We have answered this lawsuit and denied these unwarranted claims, and we intend to vigorously defend the lawsuit or settle it to our satisfaction.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2015
Notes to Financial Statements
Note 8 - INCOME TAXES	At December 31, 2014 and 2015, the Company had available Federal and state net operating loss carryforwards to reduce future taxable income. The amounts available were approximately $4,880,000 and $6,706,000 for Federal and state purposes, respectively. The Federal carryforward expires in 2034 and the state carryforward expires in 2019. Given the Company's history of net operating losses, management has determined that it is more likely than not that the Company will not be able to realize the tax benefit of the carryforwards. Accordingly, the Company has not recognized a deferred tax asset for this benefit. Effective January 1, 2007, the Company adopted FASB guidelines that address the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under this guidance, we may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. This guidance also provides guidance on derecognition, classification, interest and penalties on income taxes, accounting in interim periods and requires increased disclosures. At the date of adoption, and as of December 31, 2014 and 2015, the Company did not have a liability for unrecognized tax benefits, and no adjustment was required at adoption. The Company's policy is to record interest and penalties on uncertain tax provisions as income tax expense. As of December 31, 2014 and 2015, the Company has not accrued interest or penalties related to uncertain tax positions. Additionally, tax years 2011 through 2013 remain open to examination by the major taxing jurisdictions to which the Company is subject. Upon the attainment of taxable income by the Company, management will assess the likelihood of realizing the tax benefit associated with the use of the carryforwards and will recognize a deferred tax asset at that time. The items accounting for the difference between income taxes computed at the federal statutory rate and the provision for income taxes are as follows: 2014 2015 Income tax at federal s statutory rate 34.0 % 34.0 % Effects of permanate differences (12.7 )% (11.7 )% Effect of state taxes (net of federal taxes) 4.0 % 4.2 % Change in valuation allowance (25.3 )% (26.5 )% 0.0 % 0.0 % Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. As of December 31, 2014 and 2015, the Company's only significant deferred income tax asset was a cumulative estimated net tax operating loss of $4,880,000 and $6,706,000, respectively. Management has considered the Company's operating losses incurred to date and believes that a full valuation allowance against the deferred tax assets is required as of December 31, 2014 and 2015. Utilization of the Company's net operating losses may be subject to substantial limitations if the Company experiences a 50% change in ownership, as provided by the Internal Revenue Code and similar state provisions.

2016 PLAN AND STOCK PAYMENT AWA

2016 PLAN AND STOCK PAYMENT AWARDS	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Note 5 - 2016 PLAN AND STOCK PAYMENT AWARDS	In March 2016, the Board of Directors of the Company adopted our 2016 Equity Incentive Plan ("2016 Plan") which was registered with the SEC pursuant to a Registration Statement on Form S-8 effective on March 30, 2016. This 2016 Plan reserved 2,500,000 shares of our common stock for grants of incentive awards from time to time to eligible participants, including option awards, restricted stock awards, or stock payment awards. Eligible participants under the 2016 Plan include employees, directors and certain consultants or advisors of the Company. In March-April 2016, our Board of Directors granted stock payment awards under the 2016 Plan for the issuance of an aggregate of 1,330,000 common shares.

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 6 - STOCKHOLDERS' EQUITY	The Company is authorized to issue 500,000,000 shares of common stock and 20,000,000 shares of preferred stock, both having $.0001 par value per share. At June 30, 2016 there were 31,425,021 outstanding shares of common stock and no outstanding shares of preferred stock. Common Shares Issued As stated in the foregoing Note 5, the Company issued a total of 1,330,000 common shares as stock payment awards under its 2016 Plan valued in total at $864,500. These stock payment awards were issued for management bonuses, development and support services, marketing services, and professional services based on a valuation of $.65 per share. The valuation was based on the most recent sale of our common stock in a private placement. During the first six months of 2016, the Company also sold and issued a total of 1,559,615 unregistered common shares in private placement transactions to raise working capital, and incident thereto raised net proceeds of $670,000 at an average price of approximately $0.43 per share. In February 2016, the Company issued 25,000 unregistered common shares for marketing services valued at $10,000 ($0.40 per share); in March 2016, the Company issued 250,000 unregistered common shares for financial services valued at $100,000 ($0.40 per share); and in June 2016 the Company issued 115,000 unregistered common shares for financial services valued at $46,000 ($0.40 per share). In June 2016, the Company issued 135,000 unregistered common shares, valued at $.65 per share, to a former employee incident to settlement of a lawsuit. In June 2016, the Company satisfied and converted $75,000 of an outstanding Note through the issuance of 187,500 unregistered common shares to the Noteholder ($0.40 per share). Stock Options Granted In April 2016, the Company granted stock options to a new executive officer for the purchase of up to 1,600,000 common shares vesting quarterly over a 4-year period and exercisable (including cashless exercise) at $0.35 per share. This stock option grant was valued at $208,000 pursuant to our Black Scholes valuation model. Warrants Issued In March 2016, pursuant to a one-year marketing agreement, the Company issued a five-year Warrant for marketing services to purchase 120,000 common shares exercisable at $.50 per share anytime in whole or in part until expiration of the Warrant, and which Warrant was valued at $30,000 pursuant to our Black Scholes valuation model. In June 2016, the Company issued a five-year Warrant for financial services to purchase up to 25,000 common shares exercisable at $.40 per share anytime until expiration, and also issued a five-year Warrant for operational services to purchase 25,000 common shares exercisable at $.50 per share anytime until expiration. These two Warrants were valued at $30,000 pursuant to our Black Scholes valuation model.	The Company is authorized the issuance of 500,000,000 shares of common stock and 20,000,000 shares of preferred stock, both $0.0001 par values per share. At December 31, 2014 and 2015, there were 19,662,809 and 27,797,950 outstanding shares of common stock and no outstanding shares of Preferred stock, respectively. Common shares issued During the year ended December 31, 2015, the Company issued 8,135,141 common shares. Of this amount 1,930,188 shares were issued for cash of $730,000, 4,190,522 shares were issued for a debt reduction of $2,640,243 and 1,714,431 shares were issued for services which were valued at approximately $616,888. The market price of the stock for services was determined to be the last amount the company raised money for which averaged $0.36 per share. During the year ended December 31, 2014, the Company issued 4,312,500 shares of common stock. Of this amount 377,359 shares were issued for cash of $100,000 with 3,935,141 shares issued for services equaling $1,042,812. The price per shares in 2014 was determined to be $0.265. Equity Compensation Plan In 2011 the Board of Directors and shareholders of our Minnesota Fision subsidiary adopted and approved our 2011 Stock Option and Compensation Plan, as amended on July 18, 2013 and on December 30, 2014 (the "Plan"), which is our only equity compensation plan which was approved by stockholders. The purpose of the Plan is to advance the interests of the Company and our stockholders by attracting, retaining and rewarding our employees and key consultants performing services for us, and to motivate them to contribute to our growth and profitability. Issuance of Awards. Term and Vesting of Options. Exercise Price and Manner of Exercise. Transferability of Awards. Immediate Acceleration. The 2011 Stock Option and Compensation Plan of our Minnesota Fision subsidiary was assumed by the Company under the same terms as existed prior to the Merger. Warrants The Company has the following outstanding warrants to purchase the Company's common stock at December 31, Weighted Average Average Grant Date Number of Shares Exercise Price Exercise price Fair value Balance at December 31, 2013 1,517,721 0.25-1.00 0.41 0.18 Granted 158,250 0.22-.078 0.36 0.09 Forfeited or cancelled (43,500 ) 0.68-0.78 (0.75 ) (0.17 ) Balance December 31, 2014 1,632,471 0.25-1.00 Granted 2,133,973 0.20-1.00 0.51 0.17 Forfeited or cancelled - - Balance December 31, 2015 3,766,444 Exercisable 16,000

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 7 - RELATED PARTY TRANSACTIONS	Our Notes Payable as of June 30, 2016 include $91,399 owed to our two principal executive officers incident to their conversion of unpaid past salary compensation into Notes payable on demand having an interest rate of 6% per annum. The Stock Payment Awards granted by us in March 2016 under our 2016 Equity Incentive Plan included executive bonus awards of 375,000 common shares to our CEO valued at $243,750 ($0.65 per share) and 225,000 common shares to our CFO valued at $146,250 ($0.65 per share).	Employment Agreements The Company has two employment agreements in effect with their chief executive officer and executive vice president. The terms of the agreements include a base salaries of $25,000 per month in 2014 increasing to $32,500 per month January 1, 2015. Loans Included in notes payable are amounts due to officers and directors for advances. At December 31, 2014 and 2015, the amounts due related parities was $702,700 and $174,125, respectively.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Notes to Financial Statements
Note 11 - SUBSEQUENT EVENTS	In August 2016, the Company completed the following transactions involving its common stock: (i) A sale and issuance of our common stock to a private accredited investor of 125,000 shares at $0.40 per share. (ii) A stock award to two officers for 50,000 shares, 25,000 shares apiece, valued at $0.40 per share. (iii) A grant of four-year stock options from our 2011 Plan to eight key employees to purchase an aggregate of 775,000 common shares, vesting quarterly and ratably over the four-year term, including 575,000 shares exercisable at $0.50 per share and 200,000 shares exercisable at $0.65 per share. These stock options included 250,000 shares exercisable at $0.50 per share granted to Jason Mitzo, our Senior Vice President of Sales and Marketing. At the same time, we granted Mr. Mitzo a four-year warrant, fully vested, to purchase 250,000 common shares exercisable at $0.30 per share. In September 2016, our two principal executives, Messrs. Brown and Lowenthal, converted a total of $292,500 of past compensation owed to them into Notes payable on demand and bearing an interest rate of 6% per annum, which included $180,000 converted by Mr. Brown and $112,500 converted by Mr. Lowenthal. In September 2016, we issued 100,000 shares of our common stock to an individual providing loan financing services valued at $30,000. On September 23, 2016, we sold and issued 83,333 shares of our common stock to a private accredited investor at $0.30 per share. On September 30, 2016, we issued a total of 1,887,222 shares of our common stock to two persons to convert a total of $566,166 of Notes and other debt owed to them into equity on the basis of $0.30 per share; and we also issued 79,330 shares of our common stock to convert an account payable from a creditor of $39,665. On September 30, 2016, we also completed the following transactions: (i) We granted four-year stock options from our 2011 Plan to three employees to purchase a total of 300,000 shares of our common stock at $0.65 per share, vesting quarterly and ratably over the four-year term. (ii) We issued a total of 320,000 shares of our common stock in consideration for past financial services provided by three accredited investors and valued at $0.30 per share. (iii) We issued 79,330 shares of our common stock to the owner of our office premises for past due rental in the amount of $39,665. (iv) We issued 83,333 common shares to each of our two principal executive officers in consideration for each of them converting $25,000 of their outstanding notes payable, based on $0.30 per share. In October 2016 we issued 1,217,981 shares of our common stock to Scenic City F-10 VIII, Inc. incident to its exercise of an option for a total purchase amount of $300. On October 26, 2016, we sold and issued a total of 100,000 shares of our common stock to two accredited investors at $0.30 per share.	The Company follows the guidance in Section 855-10-50 of the FASB Accounting Standards Codification for the disclosure of subsequent events. The Company plans to evaluate subsequent events through the date when the financial statements were issued. Pursuant to ASU 2010-09 of the FASB Accounting Standards Codification, the Company as an eventual SEC filer, considers its financial statements issued when they are widely distributed to users, such as through filing them on EDGAR. Subsequent to December 31, 2015, through April 15, 2016, the Company sold shares of its common stock resulting in proceeds of $620,000 used for general working capital purposes.

CONCENTRATIONS

CONCENTRATIONS	12 Months Ended
	Dec. 31, 2015
Notes to Financial Statements
Note 12 - CONCENTRATIONS	For the year ended December 31, 2015 four customers and for the year ended December 31, 2014 five customers each accounted for more than 10% of our revenues. Combined these customers represented slightly over 50% of the Company's revenue during each of 2014 and 2015. A significant reduction for any reason in the use of our software solutions by one or more of our major customers could harm our business materially.

ORGANIZATION AND SIGNIFICANT 20

ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Organization And Significant Accounting Policies Policies
Basis of Presentation	The accompanying consolidated financial statements are unaudited. These unaudited interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("GAAP") and pursuant to the rules and regulations of the SEC. Certain information and note disclosures which are included in annual financial statements have been omitted pursuant to these rules and regulations. We believe the disclosures made in these interim unaudited financial statements are adequate to make the information not misleading. Although these interim financial statements as and for the three-month and six-month periods ended June 30, 2016 and 2015 are unaudited, in the opinion of our management, such statements include all adjustments necessary to present fairly our financial position, results of operations and cash flows for the periods presented. The results for these interim periods are not necessarily indicative of the results to be expected for the year ended December 31, 2016 or for any future period. These unaudited interim financial statements should be read and considered in conjunction with our audited financial statements and the notes thereto for the year ended December 31, 2015, included in our annual report on Form10-K filed with the SEC on April 15, 2016.
Principles of Consolidation	These consolidated interim financial statements include the accounts of Fision Corporation, a Delaware corporation, and its wholly-owned Minnesota subsidiary, and all material intercompany transactions and balances have been eliminated in consolidation.
Loss Per Common Share	Basic net loss per common share is computed by dividing the net loss by the weighted average number of common shares outstanding for the period. Diluted net loss per common share is computed by dividing the net loss by the weighted average number of common shares outstanding and potential common shares under the treasury stock method. Diluted net loss per common share is not shown, since the assumed exercise of stock options and warrants using the treasury stock method are anti-dilutive.
Use of Estimates	GAAP accounting principles require our management to make estimates and assumptions in the preparation of these interim financial statements that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates and assumptions. The most significant areas requiring management judgment and which are susceptible to possible later change include our revenue recognition, cost of revenue, allowance for doubtful accounts, valuations of property and equipment, stock-based compensation, fair value of financial instruments, derivative securities, goodwill and other intangible assets, research and development, impairment of long-lived assets, and income taxes. Certain accounting policies for these areas are discussed following these Notes in the Item 2 section of this quarterly report entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations."	The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Accordingly, actual results could differ from those estimates. Such estimates include management's assessments of the carrying value of certain assets, useful lives of assets, and related depreciation and amortization methods applied.
Concentration of Credit Risk and Customers	Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and accounts receivable. During the quarter ended June 30, 2016, we may have had cash deposits in our bank that exceeded FDIC insurance limits. We maintain any bank accounts at high quality institutions and in demand accounts to mitigate this risk. Regarding our customers, we perform ongoing credit evaluations of them, and generally we do not require collateral from them to do business with us. For the six months ended June 30, 2016, only two customers exceeded 10% of our revenues, with revenue from the largest one, a new customer, being primarily based on one-time implementation and set-up fees. We do not believe that currently we face any material customer concentration risks, although a significant reduction for any reason in the use of our software solutions by one or more of our major customers could harm our business materially.	Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and accounts receivable. During the year ended December 31, 2015, the Company may have had cash deposits that exceeded Federal Deposit Insurance Corporation ("FDIC") insurance limits. The Company maintains its cash balances at high quality financial institutions to mitigate this risk. The Company performs ongoing credit evaluations of its customers and generally does not require collateral.
Cash and Cash Equivalents	We consider all short-term highly liquid investments with a remaining maturity at the date of purchase of three months or less to be cash equivalents. At June 30, 2016 we had no cash equivalents.	The Company considers all highly liquid investments with an original maturity of six months or less when purchased to be cash equivalents. At December 31, 2015, the Company had no cash equivalents.
Fair value of financial instruments		The Company adopted the provisions of FASB ASC 820 (the "Fair Value Topic") which defines fair value, establishes a framework for measuring fair value under GAAP, and expands disclosures about fair value measurements. The Fair Value Topic defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. It requires that valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. It also establishes a fair value hierarchy, which prioritizes the valuation inputs into six broad levels. The following fair value hierarchy is used to classify assets and liabilities based on the observable inputs and unobservable inputs used in order to value the assets and liabilities: A) Market approach—Uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. Prices may be indicated by pricing guides, sale transactions, market trades, or other sources; B) Cost approach—Based on the amount that currently would be required to replace the service capacity of an asset (replacement cost); and C) Income approach—Uses valuation techniques to convert future amounts to a single present amount based on current market expectations about the future amounts (includes present value techniques, and option-pricing models). Net present value is an income approach where a stream of expected cash flows is discounted at an appropriate market interest rate. Level 1: Quoted market prices available in active markets for identical assets or liabilities as of the reporting date. An active market for an asset or liability is a market in which transactions for the asset or liability occur with significant frequency and volume to provide pricing information on an ongoing basis. Level 2: Observable inputs other than Level 1 inputs. Example of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active. Level 3: Unobservable inputs based on the Company's assessment of the assumptions that are market participants would use in pricing the asset or liability. The carrying amount of the Company's financial assets and liabilities, such as cash, accounts receivable, accounts payable, accrued expenses, and notes payable approximate their fair value because of the short maturity of those instruments. The Company had no assets and/or liabilities measured at fair value on a recurring basis at December 31, 2015.
Accounts Receivable and Allowance for Doubtful Accounts		Accounts receivable related to the products and services sold are recorded at the time revenue is recognized, and are presented on the balance sheet net of allowance for doubtful accounts. The ultimate collection of the receivable may not be known for several months after services have been provided and billed. The Company has established an allowance for doubtful accounts based upon factors pertaining to the credit risk of specific customers, analyses of current and historical cash collections, and the aging of receivables. Delinquent accounts are written-off when the likelihood for collection is remote and/or when the Company believes collection efforts have been fully exhausted and the Company does not intend to devote any additional efforts in an attempt to collect the receivable. The Company adjusts their allowance for doubtful accounts balance on a quarterly basis.
Property and Equipment		Property and equipment are recorded at cost. Expenditures for major additions and betterments are capitalized. Maintenance and repairs are charged to operations as incurred. Depreciation is computed by the straight-line method over the assets estimated useful life of six (3) years for equipment, (5) years for automobile, and (7) years for furniture and fixtures. Upon sale or retirement of property and equipment, the related cost and accumulated depreciation are removed from the accounts and any gain or loss is reflected in statements of operations.
Impairment of long-lived assets		The Company follows paragraph 360-10-05-4 of the FASB Accounting Standards Codification for its long-lived assets. The Company's long-lived assets are required to be reviewed for impairment annually, or whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The Company assesses the recoverability of its long-lived assets by comparing the projected undiscounted net cash flows associated with the related long-lived asset or group of long-lived assets over their remaining estimated useful lives against their respective carrying amounts. Impairment, if any, is based on the excess of the carrying amount over the fair value of those assets. Fair value is generally determined using the asset's expected future discounted cash flows or market value, if readily determinable. If long-lived assets are determined to be recoverable, but the newly determined remaining estimated useful lives are shorter than originally estimated, the net book values of the long-lived assets are depreciated over the newly determined remaining estimated useful lives. The Company determined that there were no impairments of long-lived assets as of December 31, 2015.
Revenue recognition		The Company follows paragraph 605-10-S99-1 of the FASB Accounting Standards Codification for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. Revenue is recognized in the period the services are provided over the contract period, normally one (1) to three (3) years. The Company invoices one-time startup costs, such as consolidating and uploading digital assets upon completion of those services. Monthly services, such as internet access to software as a service (SaaS), hosting and weekly backups are invoices monthly.
Income taxes		The Company follows Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the fiscal year in which the temporary differences are expected to be recovered or settled. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company adopted section 740-10-25 of the FASB Accounting Standards Codification ("Section 740-10-25") with regards to uncertainty in income taxes. Section 740-10-25 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement. Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, accounting in interim periods and requires increased disclosures. The Company had no material adjustments to its assets and/or liabilities for unrecognized income tax benefits according to the provisions of Section 740-10-25.
Stock-Based Compensation		In December 2004, the FASB issued FASB Accounting Standards Codification No. 718, Compensation – Stock Compensation Equity instruments ("instruments") issued to other than employees are recorded on the basis of the fair value of the instruments, as required by FASB Accounting Standards Codification No. 718. FASB Accounting Standards Codification No. 505, Equity Based Payments to Non-Employees
Net income (loss) per share		The Company computes basic and diluted earnings per share amounts pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic earnings per share is computed by dividing net income (loss) available to common shareholders, by the weighted average number of shares of common stock outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted earnings per share is computed by dividing net income (loss) available to common shareholders by the diluted weighted average number of shares of common stock during the period. The diluted weighted average number of common shares outstanding is the basic weighted number of shares adjusted as of the first day of the year for any potentially diluted debt or equity. For the years ended December 31, 2014 and 2015, there were 5,142,729 and 1,922,853 respectively, potentially dilutive securities not included in the calculation of weighted-average common shares outstanding since they would be anti-dilutive.
Research and Development		The company expenses all our research and development operations and activities as they occur. During the fiscal year ended December 31, 2015 we incurred total expenses of $211,495 for research and development, including $179,135 for internal development by our technology personnel and $32,360 for outsourced work by independent software developers. In comparison, during the fiscal year ended December 31, 2014 we incurred total expenses of $198,913 for research and development, including $183,750 for internal development and $15,163 for outsourced development. Development expenses were similar in 2015 compared to 2014 as we completed development of our Fision software platform during 2014.
Recently issued accounting pronouncements		Company management does not believe that any other recently issued, but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying financial statements.

NOTES PAYABLE (Tables)

NOTES PAYABLE (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Payable Tables
Notes Payable	Following is a summary of our outstanding Notes Payable indebtedness as of June 30, 2016: Description of Notes Payable Amount Owed (1) Decathlon Alpha LP, Senior Secured Note, due 12/31/16, interest at 15% $ 157,021 Forte Ventures LP, Secured Note, past due, interest at 15-21% 386,761 Hawkins Ventures Inc., Secured Note, past due, interest at 18% 94,479 Nottingham Securities Inc., due 9/30/16, interest at 10% 128,173 Finquest Capital Inc., due 9/30/16/, interest at 10% 25,010 Notes payable to two principal officers, due on demand, interest at 6% 91,399 Note payable to individual, past due, interest at 10% 50,000 Note payable to individual, past due, interest at 12% 27,243 Note payable to individual, past due, interest at 6% 1,434 Total $ 961,520

ACCOUNTS RECEIVABLE (Tables)

ACCOUNTS RECEIVABLE (Tables)	12 Months Ended
	Dec. 31, 2015
Accounts Receivable Tables
Accounts receivable	December 31, 2014 December 31, 2015 Accounts receivable $ 65,929 $ 32,134 Less: Allowance for doubtful accounts (10,000 ) 0 $ 55,929 $ 32,134

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2015
Property And Equipment Tables
Fixed assets	December 31, 2014 December 31, 2015 Equipment $ 89,410 $ 92,701 Furniture & Fixtures 28,946 28,946 Less: Accumulated Depreciation (96,726 ) (115,318 ) Net Fixed Assets $ 21,630 $ 7,754

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2015
Income Taxes Tables
Provision for income taxes	2014 2015 Income tax at federal s statutory rate 34.0 % 34.0 % Effects of permanate differences (12.7 )% (11.7 )% Effect of state taxes (net of federal taxes) 4.0 % 4.2 % Change in valuation allowance (25.3 )% (26.5 )% 0.0 % 0.0 %

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	12 Months Ended
	Dec. 31, 2015
Stockholders Equity Tables
Warrants	Weighted Average Average Grant Date Number of Shares Exercise Price Exercise price Fair value Balance at December 31, 2013 1,517,721 0.25-1.00 0.41 0.18 Granted 158,250 0.22-.078 0.36 0.09 Forfeited or cancelled (43,500 ) 0.68-0.78 (0.75 ) (0.17 ) Balance December 31, 2014 1,632,471 0.25-1.00 Granted 2,133,973 0.20-1.00 0.51 0.17 Forfeited or cancelled - - Balance December 31, 2015 3,766,444 Exercisable 16,000

ORGANIZATION AND SIGNIFICANT 26

ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	6 Months Ended
	Jun. 30, 2016Unit
Organization And Significant Accounting Policies Details Narrative
Customers exceeded revenues	10.00%
No. of customers	2

SUMMARY OF SIGNIFICANT ACCOUN27

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Organization And Significant Accounting Policies Details Narrative
Potentially dilutive securities anti-dilutive	5,142,729	1,922,853
Research and development expenses	$ 211,495	$ 198,913
Internal development expenses	179,135	183,750
Software development expenses	$ 32,360	$ 15,163

GOING CONCERN (Details Narrativ

GOING CONCERN (Details Narrative) - USD ($)	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Going Concern Details Narrative
Accumulated deficit	$ (12,576,634)	$ (10,620,764)	$ (8,361,532)
Working capital deficiency	$ (1,600,000)	$ (10,800,000)

ACCOUNTS RECEIVABLE (Details)

ACCOUNTS RECEIVABLE (Details) - USD ($)	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Accounts Receivable Details
Accounts receivable		$ 32,134	$ 65,929
Less: Allowance for doubtful accounts		0	(10,000)
Accounts receivable, net	$ 119,256	$ 32,134	$ 55,929

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details) - USD ($)	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Property And Equipment Details
Equipment		$ 92,701	$ 89,410
Furniture & Fixtures		28,946	28,946
Less: Accumulated Depreciation		(115,318)	(96,726)
Net Fixed Assets	$ 9,321	$ 7,754	$ 21,630

PROPERTY AND EQUIPMENT (Detai31

PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Property And Equipment Details Narrative
Depreciation expense	$ 23,655	$ 23,671

NOTES PAYABLE (Details)

NOTES PAYABLE (Details)	Jun. 30, 2016USD ($)
Notes payable	$ 961,520
Decathlon [Member]
Notes payable	157,021
Forte Ventures [Member]
Notes payable	386,761
Hawkins Ventures [Member]
Notes payable	94,479
Nottingham Securities [Member]
Notes payable	128,173
Finquest Capital [Member]
Notes payable	25,010
Principal Officers [Member]
Notes payable	91,399
Individual Investor [Member]
Notes payable	50,000
Individual Investor 1 [Member]
Notes payable	27,243
Individual Investor 2 [Member]
Notes payable	$ 1,434

NOTES PAYABLE (Details Narrativ

NOTES PAYABLE (Details Narrative)	12 Months Ended
	Dec. 31, 2015USD ($)Unit	Jun. 30, 2016USD ($)	Dec. 31, 2014USD ($)
Notes Payable Details Narrative
Notes payable	$ 986,082	$ 961,520	$ 1,707,420
Amount of notes in default			$ 1,652,420
No. of notes agreements | Unit	11
Interest rates	21.00%
Notes payable default amount	$ 78,249

COMMITMENTS & CONTINGENCIES (De

COMMITMENTS & CONTINGENCIES (Details Narrative) - USD ($)	6 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014
Commitments Contingencies Details Narrative
Rent expense	$ 42,852	$ 42,581	$ 78,565	$ 65,623

INCOME TAXES (Details)

INCOME TAXES (Details)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Income Taxes Details
Income tax at federal s statutory rate	34.00%	34.00%
Effects of permanate differences	(12.70%)	(11.70%)
Effect of state taxes (net of federal taxes)	4.00%	4.20%
Change in valuation allowance	(25.30%)	(26.50%)
Total	0.00%	0.00%

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Income Taxes Details Narrative
Federal net operating loss carryforwards	$ 4,880,000
State net operating loss carryforwards	$ 6,706,000
Federal carryforward expires	2,034
State carryforward expires	2,019
Estimated net tax operating loss	$ 6,706,000	$ 4,880,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Related Party Transactions Details Narrative
Note payable and accrued interest - related party	$ 91,399	$ 445,224	$ 702,700
Interest rate on related party	6.00%
Due to related parities		$ 174,125	$ 702,700

STOCKHOLDERS' EQUITY (Details)

STOCKHOLDERS' EQUITY (Details) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Number of Shares
Beginning Balance	1,632,471	1,517,721
Granted	2,133,973	158,250
Forfeited or cancelled		(43,500)
Ending Balance	3,766,444	1,632,471
Exercisable	16,000
Weighted Average Exercise price
Beginning Balance		$ 0.41
Granted	0.51	0.36
Forfeited or cancelled		(0.75)
Ending Balance
Average Grant Date Fair value
Beginning Balance		0.18
Granted	0.17	0.09
Forfeited or cancelled		(0.17)
Ending Balance
Minimum [Member]
Exercise Price
Beginning Balance	0.25	0.25
Granted	0.20	0.22
Forfeited or cancelled		0.68
Ending Balance		0.25
Maximum [Member]
Exercise Price
Beginning Balance	1	1
Granted	$ 1	0.78
Forfeited or cancelled		0.78
Ending Balance		$ 1

STOCKHOLDERS' EQUITY (Details N

STOCKHOLDERS' EQUITY (Details Narrative) - USD ($)	6 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014
Stockholders Equity Details Narrative
Common shares sold and issued for cash, shares	1,559,615
Proceeds from issuance of common stock	$ 670,000	$ 363,993	$ 730,000	$ 100,000
Common shares issued			8,135,141	4,312,500
Common shares issued for cash, shares			1,930,188	377,359
Common shares issued for cash, amount			$ 730,000	$ 100,000
Common shares issued for a debt reduction, shares			4,190,522
Common shares issued for a debt reduction, amount			$ 2,640,243
Common shares issued for services, shares			1,714,431	3,935,141
Common shares issued for services, amount			$ 616,888	$ 1,042,812
Stock option awards outstanding			97,500
Preferred stock, shares authorized	20,000,000		20,000,000	20,000,000
Preferred stock, par value	$ 0.0001		$ 0.0001	$ 0.0001
Preferred stock, shares issued	0		0	0
Preferred stock, shares outstanding	0		0	0
Common stock, shares authorized	500,000,000		500,000,000	500,000,000
Common stock, par value	$ 0.0001		$ 0.0001	$ 0.0001
Common stock, shares issued	31,425,021		27,797,950	27,797,950
Common stock, shares outstanding	31,425,021		27,797,950	27,797,950

CONCENTRATIONS (Details Narrati

CONCENTRATIONS (Details Narrative) - Unit	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Concentrations Details Narrative
No. of customers	4	5
Revenues rate	10.00%	10.00%
Combined revenues rate	50.00%	50.00%